The Indian Railways: Travelling by Indian Railways is considered to be the cheapest. Passengers will get a discount of 55 per cent on the train fare. The case is being widely discussed across the country. In fact, in a media interview, the Railway Minister has said that 55 percent discount is being given.But you hardly know that the railways give you so many discounts. Let see what it is.
Ashwini Vaishnaw was in Ahmedabad to review the progress of the bullet train project. Meanwhile, journalists questioned whether the government will resume the fare concession that passengers used to get before Covid-19. On this, the Railway Minister said that 55% discount in fares is being given by the Railways to passengers since the beginning.
Out of 100 rupees, 55 rupees are given Government
Addressing a press conference in Ahmedabad, the Railway Minister said, “If the fare is Rs 100 for passengers to reach their destination, then they have to pay only Rs 45 to the Railways. A discount of 55 per cent is being offered to passengers.
Earlier, an RTI activist from Madhya Pradesh had sought details of earnings from senior citizens from the Railways. The government had said that around 15 crore senior citizens travelled by railways in 2022-23. With this, the Railways earned about Rs 2,242 crore.
Where the money coming from?
Indian Railways does not earn its revenue from passenger fares alone. They have many other sources of income. These include transportation of goods, advertisements at railway stations, food tenders, export of goods manufactured in railway factories, etc.
Also, to keep the railway fares affordable for the common people, the government installs AC coaches in trains, whose fares are quite high. In this way, the railways works to bridge the gap between its fare collection and expenditure.